NASHVILLE – Tennessee Commissioner of Labor & Workforce Development Karla Davis announced today Tennessee’s unemployment rate for August was 9.7 percent, down from the July revised rate of 9.8. The national unemployment rate for August 2011 was 9.1 percent, unchanged from the July revised rate.

“Each year from July to August we see a balance of seasonal hires and layoffs,” Commissioner Davis said. “Jobs related to education have resumed and summer temporary hires are ending.”

According to Labor’s monthly survey of 10,000 businesses in Tennessee, local and state educational service jobs increased by 12,100. Service-providing jobs associated with summer work declined in areas such as leisure and hospitality (-1,800), and retail trade (-800).

August 2011 is the first month since August 2010 the state rate has decreased.

Major Changes in Estimated Nonagricultural Employment

July 2011 to August 2011

Month-to-month increases occurred in local government, up 13,600 jobs; administrative, support, and waste services was up 6,300; and educational, and health services increased by 2,200. From July to August nondurable goods manufacturing decreased by 2,100; and trade, transportation, and utilities was down 2,100.

Major Changes in Estimated Nonagricultural Employment

August 2010 to August 2011

Year-over-year increases took place in professional and business services, up 11,200 jobs; mining, logging, and construction was up 5,900; and educational and health services increased by 5,600. Employment decreases took place in government, which decreased by 7,200; retail trade was down 6,100; and nondurable goods manufacturing declined by 1,500.